Madison Parish Hospital Agreed to Pay $1.8 Million for Allegedly Violating the Civil Monetary Penalties Law by Receiving Equipment and Services Below Fair Market Value, Providing Space and Services Below Fair Market Value, and Other Conduct
After it self-disclosed conduct to OIG, Madison Parish Hospital Service District d/b/a Madison Parish Hospital (MPH), Louisiana, agreed to pay $1,800,000 for allegedly violating the Civil Monetary Penalties Law, including provisions applicable to physician self-referrals and kickbacks. OIG alleged that MPH: (1) improperly submitted claims to Medicare related to certain inpatient admissions; (2) received remuneration in the form of inpatient Computed Tomography equipment and services provided below fair market value (FMV) from an independent diagnostic testing facility (IDTF) and paid remuneration to the IDTF in the form of below FMV medical office space and support services; and (3) improperly reported illegal remuneration from hospital vendors paid to a former CEO on MPH cost reports then used by the Medicare and Medicaid program to calculate reimbursement rates to MPH, resulting in overpayments.
- Date:April 28, 2017
- Fraud Self-Disclosures